For Our Historical Comparison Purposes,how Are Large-Company Stocks Defined

question 80

Multiple Choice

For our historical comparison purposes,how are large-company stocks defined?

• A)Stocks of the lowest 20 percent of the firms listed on the NYSE based on market capitalization
• B)Stocks with average annual returns that exceed the average annual return of the U.S.Treasury bill
• C)Any firm that has been listed on the NYSE for 40 years or more
• D)Stocks of firms included in the S&P 500 composite index
• E)Stocks of firms that employ over 5,000 employees

---

Definitions:

Short-Form Merger

A process where a parent company merges with a subsidiary company without needing the approval of the subsidiary's shareholders.

Appraisal Rights

The rights of a corporation's minority shareholders to have a judicial assessment of the fairness of a proposed transaction, typically a merger or acquisition.

Parent's Minority Shareholders

Individuals or entities that hold a smaller, non-controlling percentage of shares in the parent company.

Going Private Transaction

A process in which a publicly traded company is transformed into a privately held entity, usually by a buyout.